Original Research

Entrepreneurial development in South Africa through innovation: A model for poverty alleviation

Errol Francke, Bennett Alexander
Acta Commercii | Vol 19, No 1 | a631 | DOI: https://doi.org/10.4102/ac.v19i1.631 | © 2019 Errol Francke, Bennett Alexander | This work is licensed under CC Attribution 4.0
Submitted: 09 April 2018 | Published: 28 January 2019

About the author(s)

Errol Francke, Department of Information Technology, Cape Peninsula University of Technology, South Africa
Bennett Alexander, Faculty of Informatics and Design, Cape Peninsula University of Technology, South Africa


Orientation: The development agency could be equipped with a model that will assist them in supporting mobile application development entrepreneurs towards enhanced competitiveness that could assist in alleviating poverty and reducing economic inequality.

Research purpose: The purpose of this study is to explore the evolution of a model to support mobile application development entrepreneurs towards enhanced competitiveness.

Motivation for the study: This study was motivated by the views on black economic empowerment where little has been done to impact the lives of black people on a larger scale. Broader participation of black people in the formal economy is required to achieve sustainable development and prosperity. Studies suggest that innovation through technology transfer is regarded as a contributor to economic growth.

Research design, approach and method: This study adopted the Critical Realist Methodology Model via an inductive research approach. Focused interviews with academics, small and medium-sized enterprises in the innovation and technology industry and development agencies were conducted.

Main findings: There is business potential in mobile applications, but entrepreneurs have difficulty in commercialising these. They could be assisted with a model that would transform their applications into real business opportunities.

Practical/managerial implications: The antidote to disruptive innovation is a management response. What is required from management is that it needs to bring about a paradigm shift in the way that the whole notion of a business is remodelled.

Contribution/value-add: This study reveals a multi-factorial strategy model in the form of the Disruptive Innovation State Response Model that could support mobile application development entrepreneurs towards enhanced competitiveness.


entrepreneur; poverty alleviation; South Africa; economy; business; business model; innovation


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